HomeCase studiesSMEs, directors & shareholdersCommercial litigationReducing the period of a director disqualification

Why the client needed our help

Our client was a director of a Pine Furniture Company which entered into liquidation. The Insolvency Service issued director disqualification proceedings against him in respect of monies owing to the Crown (HMRC) totalling £85,000.

The Insolvency Service was seeking a director disqualification period of 9 years against our client.

How we helped

Based on the evidence supplied, the period sought was in our view excessive and would have also prohibited our client being able to seek permission from court to continue being a director of a company pursuant to Section 17 of the Company Director Disqualification Act if he so chose.

As a result, we drafted detailed affidavit evidence dealing with many of the issues raised by the Insolvency Service in the director disqualification claim with a view to lowering the period of the director disqualification undertaking being sought against our client.

The outcome

As a result of the affidavit evidence filed, the period of the director disqualification undertaking was reduced to 5 ½ years, enabling our client the possibility to then seek leave from the Court to continue being a director of a company if he so chose.

One of the most astute appointments I have ever made.

A company director we successfully defended against disqualification

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Stephen Downie

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